Massachusetts votes in favor of casinos

2014-11-06

Reading time 1:42 min

(US).- Voters in Massachusetts have approved to implement state’s new Gaming Act to allow full-scale casinos. A majority of voters decided not to repeal the 2011 law, which will potentially see three casinos and a slots parlor open within the state. Two casino projects – one from MGM Resorts and another from Wynn Resorts – were previously approved but now authorities have green light to issue the casino licenses. Penn National Gaming is planning to open a new slots parlor next year.

Voters refused to repeal the state's 2011 casino gambling law. That came as a relief to those bankrolling projects that were approved or already under construction in Springfield, Everett and Plainville. Repeal literally could have stopped bulldozers in their tracks.

Steve Crosby, chairman of the Massachusetts Gaming Commission, said the key objectives now are to maximize revenue, jobs and other economic benefits from expanded gaming, while minimizing possible “unintended” negative consequences. Massachusetts gambling regulators are completing casino licenses for MGM Resorts International and Wynn Resorts after voters emphatically rejected repealing the state's casino law.

Thursday's vote by the Massachusetts Gaming Commission are expected to set in motion state and local payments the casinos will have to make, including an US$ 85 million licensing fee and compensation payments to their host and surrounding communities.

The five-member panel was then expected to look ahead to 2015, when it hopes to award the state's final resort casino license, which is reserved for the Fall River-New Bedford region.

The commission also was expected to vote Thursday on applications for state horse racing licenses. An association of horse trainers and owners is seeking to preserve thoroughbred racing at Suffolk Downs, the region's last such track, after its owners decided against continuing races in 2015. A separate proposal would have thoroughbred races take place at the Brockton Fairgrounds.

MGM won the state's western region casino license for a proposed $800 million resort in Springfield over the summer. Wynn won the Boston-area license in the fall for its $1.6 billion plan for the Everett waterfront.

Penn National Gaming already has paid a $15 million slots parlor licensing fee for its $225 million expansion of the Plainridge harness racing track in Plainville. The company is on track to open the first gambling hall under the 2011 law.

MGM and Wynn, meanwhile, are ramping up efforts to break ground on their resort casino developments. Each hopes to open sometime in 2017. And two federally-recognized American Indian tribes - the Mashpee Wampanoags of Cape Cod and the Aquinnah Wampanoags of Martha's Vineyard - are continuing to pursue casino projects in the southern region.